Charlottesville Real Estate: The NGIC Effect on Our Local Real Estate Market?
As we all know, the National Ground Intelligence Center (NGIC) is bringing a lot of jobs to our area – some are estimating 1000…and maybe more. And with those jobs is increased promise that the influx of jobs will help boost the Charlottesville real estate market. Is that a crazy thought? Absolutely not.
Real estate pricing can be traced back to basic supply and demand. In 2004, the supply of Charlottesville homes was low and demand was high…so prices skyrocketed. We’re in a situation now where the tables are reversed: inventory levels for Charlottesville and Albemarle homes are extremely high and demand is, well, so-so.
The first wave of NGIC and DIA employees are starting to make their way into Charlottesville – some have already purchased, some are under contract, and many more are just beginning their real estate search. I’ve heard from more than one client associated with NGIC that they want to move to Central Virginia in 2010 before the big wave of relocation takes place in 2011.
There is no doubt that those 1000+ jobs will have a direct impact on our local housing market…but how much will it positively affect the prices? That is yet to be determined. But you can expect there will be a positive effect – and the most influenced areas will most likely be areas and neighborhoods geographically closer to NGIC.